Mause I 159
Def Pigou Tax/Pigovian Tax/Pigou: The state taxes (subsidizes) the perpetrators of negative (positive) externalities in such a way that the social and private marginal costs coincide with the welfare-optimized supply quantity of the goods concerned in the behavioral equilibrium. (1)

1.A.C. Pigou, The economics of welfare. London 1920._____________Explanation of symbols: Roman numerals
indicate the source, arabic numerals indicate
the page number. The corresponding books
are indicated on the right hand side.
((s)…): Comment by the sender of the contribution.
The note [Author1]Vs[Author2] or [Author]Vs[term] is an addition from the Dictionary of Arguments. If a German edition is specified, the page numbers refer to this edition.